Evening star. [volume] (Washington, D.C.) 1854-1972, 1887-10-26
MR. GARRErT,s DEFEAT.
How Gould Balked His Plan tn Sell the
baltimore and Ohio Telegraph.

Baltimore special 70 the PHILADELPHIA Press.
october -, says: The statement OF Jay Gould
published to-day, that he began the negotiations
for the purchase OF the Baltimore and Ohio Tele-
graph Co. with Robt Garrett himself has brought
out the following history OF the transaction. This
statement was made by Mr.. Garrett last week TO
an intimate personal friend:
''Some time previous to the departure OF Mr.
Garrett for Europe a party composed OF Mr. Gar
rett, Mr.. Gould, Vice President King OF the Balti-
more and Ohio; General Counsel John X. Cowen.
or the same, and number OF other gentlemen
prominent in railroad and telegraph circles were
on board yacht and took a trip up the Hudson
River. Before returning Mr.. Gould, In the course
OF c9versatlon, offered Mr: Garrett 100000 for
the Baltimore and Ohio Telegraph Mr. Garrett
positively and ernphatically refused and stated
that ne would not, under any circumstances what
ever, sell for less than SO 600 OOO Mr. Gould de-
clined TO accept the Baltimore and Ohio lines at
that Inquire, and the subject was dropped and that
was the last That Mr.: Garrett had to say to Mr..
Gould on the subject OF the telegraph
"A little later Mr.. Garrett went TO Europe and
while there organized syndicate of bankers in
ohio lines at Mr.. CARROTS figures 10000 600
Jay Gould was kept constantly posted through his
representatives, and correspondents OF every
movement MADE Dy MI. Garrett IL will be recOl-
lected that every incident OF MIR Garrett's daily
HE, even 10 the color OF the necktie he wore, was
duly cabed TO this country, and the information
was published in nearly all the papers In the land
Meanwhile IL Is asserted Jay Gould was In con-
stant communication with two prominent officials
acquainted, and finally secured their influence and
assistance Stlll, nothing could be done until the
consent OF President pro tenn. Burns was secured.
Mr.. Burns, having the most Implicit confidence In
hese gentlemen, gave his consent to the sale.
'The time OF Mr.. CARROTS departure FROM Eu-
rope was duly cabled TO Gould, and he, IL is al
legged, urged that the deal must be conSuInmated
at once, which was done while Mr. Garrett was on
the ocean, IL will be recollected that the an
nouncement OF the sale was followed by a special
meelng OF the finance committee OF the Baltimore
ana ONO Railroad. which confirmed the acts OF
MI Burns Meanwhile Mr.. Garrett was in blissrul
Ignorance or what was going on Among those
who embarked with him on his return Trip 20 the
thlted states was an Amsterdam banker, men,
Der OF the syndicate, VINO had in his pocket certi-
ned cEeck for $1,000 900, which was 10 have been
ndnutu 10 Mr.. Garrett as soon the proper lie sal
papers were drawn for the transfer OF the tele-
graph property. The plan embraced most pOw-
erlul Geographic combination, and comprised all
existing cable and land lines outside Of those con-
JrOled by Gould.
ION reaching New York Mr.. Garrett learned
tnat MS fdyOriie property had been sold to Jay
Gould Tor S1,0OO,OO0 in Western Union stock and
leases. which capitalized amounted TO about
f3,OOO,OOO more OF course this ended all negoJi.-
lions which had been entered into with the Am
sterIam syndicate, and the foreign banker took
MS S3,0DO.OOO check back to Europe. The mental
strain following these developments has, 1t is said,
proved 200 great for Mr.. Garrett, AMI his health
has Ia consequence broken down.